Price action is more than whether the market rose or fell. It examines how prices react near key levels. Heavy volume without progress, quiet stabilisation and pullbacks after breakouts all provide clues.
Trading ranges show disagreement
A long trading range suggests neither buyers nor sellers have control. When a breakout occurs, volume and sector participation matter.
Breadth confirms trends
If more stocks participate in gains, the trend is healthier. If the index rises while most stocks fall, caution is needed.
